Question : Logistic Cost

(a) whether the logistic cost at ports in India is thrice than that of China, if so, the details thereof;
(b) whether the Government is contemplating to build robust infrastructure to minimise logistic cost near some of themajor ports, if so, the details thereof;
(c) whether the Government also proposes to build scrap cycle centres near some of the major ports, if so, the details thereof;
(d) the amount likely to be invested for expansion of the major ports; and
(e) the time by which the expansion work is likely to be started and completed?

MINISTER OF STATE IN THE MINISTRY OF SHIPPING
(SHRI PON. RADHAKRISHNAN)

(a)&(b):A Benchmarking study for Major Ports was conducted through a reputed consultancy organisation. The consultants have recommended various initiatives/measures to strengthen the infrastructure of Major Ports and improve their efficiency. These initiatives include improvement in the shift change process to minimize the productive loss, twin lifting to boost crane productivity for containers terminals, redesigning of operator incentive scheme, better yard side planning and service based Tractor-Trailor(TT) dispatching, existing Iron Ore Handling Plant (IHP) to be used for exporting coal cargo, wherever possible, development of additional land, if required, improving Railway Rake Monitoring to reduce Turn Round Time (TRT), reducing ship change over time and mechanisation of berths, reducing check point delay for container movement by road, relaxation of cabotage on coastal goods and development of coastal movement, installation of quick release systems on berths, effective policy change to mandate usage of common testing facilities, reducing vehicle damage, installation of higher capacity shore crane, navigational aids for night navigation, instituting hot seat changes for crane operators, shift time change, instituting berth productivity norms for liquid bulk, etc. The recommendations also include reducing time gap between haul-in haul-out, reduction in non-working time, consolidation and improvement of spare capacity. The identified initiatives will help in reducing the overall logistics cost in addition to increasing efficiency in major ports.

(c) No, Madam.

(d)&(e):30 Projects have been targeted for award in the current financial year. On completion, these projects will lead to capacity addition of 162.20 MTPA at an estimated investment of approximately Rs. 14225.98 Crores. 17 Projects have been awarded so far. These projects would be completed within 24 months from the date of signing of the concession agreement, in the case of PPP projects.
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